Next chapter in Shanghai's success story as Hongkou sets out major development

Central business district to feature 40 skyscrapers capable of housing 100 headquarters of multinational companies

North Bund in Shanghai is striving to build itself into a globally top-level central business district to draw the attention of international investors.

Covering an area of 4 square kilometers and with a 3.4 km waterline, North Bund is located in the southern part of Hongkou district at the convergence of the Huangpu River and Suzhou Creek.

Together with the Bund and the Lujiazui financial hub on the east bank of the Huangpu River, the North Bund forms a "golden triangle" in the most bustling and prosperous part of downtown Shanghai.

The region has been listed as "a new engine" of Shanghai's future growth.

Shanghai's Party Secretary Li Qiang described the region as "Shanghai's last treasure island," and said it should receive thorough research and planning for every inch of land and every square meter of building.

According to the latest plan, the overall construction scale of North Bund will reach 8.4 million sq m. As the largest-scale project after the development of the Lujiazui financial hub in Pudong in 1990, North Bund is expected to become a new legend in Puxi, the historical center of Shanghai.

The North Bund will include a central business district with more than 200 office buildings and commercial facilities. A 480-m landmark structure is also planned, which will surpass the Sinar Mas Plaza, a tower rising 320 m to become the tallest structure in Puxi.

The new landmark will be the city's third-tallest building after the 632-m Shanghai Tower and the 492-m Shanghai World Financial Center in Lujiazui area in Pudong.

According to the plan, around the Sinar Mas Plaza tower and the new landmark, two clusters of skyscrapers are to be constructed. This will create a new skyline for North Bund echoing the Lujiazui skyline on the other side of the Huangpu River.

A total of 40 top-level office buildings will be erected, which will make North Bund the densest built-up region in the world. The 40 buildings will be capable of accommodating up to 100 headquarters of multinational companies, international organizations and functional institutes.

Local authorities said the development and planning of North Bund is on a par with the world's first-level central business districts.

Targeted at the world's top standard, each building will not only be equipped with 5G, internet of things and other advanced technologies, but use green operation systems, such as air purification, solar power and central power.

Attracting global investors

As Shanghai strives to build itself into an international shipping center and international financial center, North Bund will build itself into a core area for high-end shipping services and vital area for financial asset management and financial technology during the country's 14th Five-Year Plan (2021-25), according to the district.

So far, more than 4,700 shipping-related enterprises have settled in North Bund. It is also home to more than 1,800 financial enterprises, including one-eighth of the country's mutual funds. About $900 billion of assets are now under their management.

North Bund will also develop the new economy and digital economy by focusing on new technology and new business models to create a number of new growth points of economic development, according to its plan.

According to the investment guideline for North Bund released earlier this year, the region hopes to attract a batch of multinational enterprises to establish new headquarters, as well as international organizations and industrial institutes.

To increase the quality of the business environment and attract more foreign investment to settle in this area, Hongkou's authorities have launches a series of measures and policies.

For example, it has aided the business registration process by integrating all service items into one website and reduced about 90 percent of the application materials.

In addition to increasing the reciprocity with enterprises, it provides various personalized support services, such as education, medical care and talent finding for enterprises.

It will establish a North Bund enterprise service center in the future to improve the business environment and enhance the sense of gain for enterprises, according to the district. In late June, the district organized a global promotional meeting for the development of North Bund. More than 200 guests, including global investors, foreign consuls and enterprise representatives participated to learn about the latest development planning for the area.

Despite the outbreak of the COVID-19 pandemic, the passion of global investors has not changed, said Wu Xinbao, Party secretary of Hongkou district.

More than 70 world-famous developers and enterprises have negotiated with the Hongkou government, he said.

By now, the North Bund has introduced about 200 key projects with total investment exceeding 100 billion yuan ($15 billion), said the district.

According to Hongkou District Commission of Commerce, North Bund helped Hongkou district attract $1.28 billion of foreign investment in 2019. About 60 percent of Hongkou's top 500 enterprises are located in North Bund.

According to Hongkou district, it will also create a world-class waterfront garden and public space with a total area of 400,000 sq m.

Besides that, it will renovate the region's historical buildings and communities. Historical venues, such as Tilanqiao, which once housed Jewish refugees fleeing Nazi persecution during World War II will be renovated and created into a new landmark with museums, tourist attractions and exhibitions.

Targeted as a "world-class parlor", North Bund will not only support Shanghai's growth but serve the development of the Yangtze River Delta region and national strategy, said Wu.